David Cameron to invest in 'industries of the future'

06Jan

Richard Mawdsley (left) of Peel Holdings and Prime Minister David Cameron tour the £4.5 billion Wirral Waters development on Merseyside

David Cameron has promised to boost investment in the ”industries of the future” such as aerospace, pharmaceuticals and green energy while at the same time encouraging growth beyond the South East to balance the economy.
January 06, 2011 (KATAKAMI / TELEGRAPH.CO.UK) — Speaking to business leaders in Manchester, the Prime Minister said the Government is doing everything it can to drive growth in the UK economy.

He said the Coalition’s ”tough fiscal action” to cut the budget deficit did not mean the Government could not have a strategy to promote growth.

The Government wanted to reform planning laws to make it easier for entrepreneurs to expand and ”lay out the red carpet” for start-up businesses, he said.

Mr Cameron added that it was necessary to tax spending with the VAT increase as part of a plan to share the burden with public sector cuts.

He said: ”Make no mistake – this Government is doing everything we possibly can to drive growth and make the next decade the most dynamic and entrepreneurial in our history.”

He said: “The international evidence is clear: with tax rises taking a quarter of the strain and spending cuts three-quarters, we are striking the balance that is fair and good for growth. None of this is easy.

“But be in no doubt: balancing the books over this Parliament is absolutely essential to restoring confidence in our economy – and that is why we are sticking to this path.

“The second thing you need is a strategy for growth that goes beyond just sorting out the mess of the public finances – and that’s exactly what this Government has.

“In the end it’s not us in Whitehall who will create growth, but you in your offices, your shops and your factories. But you need some very basic things from us to help create wealth and jobs.”

Mr Cameron said the Government also wanted to see the country’s tourism industry expand as well as attract businesses to develop the green energy technology such as wind turbines and solar panels.

He added: “Getting behind tourism, green energy, pharmaceuticals, advanced manufacturing, aerospace, the industries of the future – all this is crucial.

“But it would be a big mistake if we stopped at those big ticket industries. Because if you look at where growth has come from in recent years, you see that it’s the small, innovative companies that hold a lot of the potential.

“Over and over again studies show that around one in 20 companies – the small, high-growth firms – are responsible for half of new job creation.

“So far from ignoring the start-ups and the small players, we’re laying out the red carpet for them.”

He said the Royal Wedding and Olympics provided platforms for economic growth.